SANDPOINT — It was a day of discussion and education about the current uncertain economic environment as business owners and elected officials gathered for the recent “What’s Happening Up North” economic summit.  

The all-day event, organized by the local nonprofit Pend Oreille Economic Partnership, invited speakers from across the Idaho panhandle to encourage collaboration between the counties. Brent Baker, PEP executive director, said that the region’s agencies are connected in these unpredictable times. 

"We think we’re this little organization, PEP, but we’re not really just that, there’s a network,” Baker said. “All these people help each other and stand at the ready to help anyone in their communities.”  

The summit kicked off with a presentation from Avista’s chief economist Grant Forsyth. His presentation focused on making sense of the economy on a national level and gave a grim outlook of the nation and Bonner County’s immediate future, saying there is a 50% chance that the county will enter a recession in the coming years.  

"The most recent average I have is to expect weaker growth this year and next year,” Forsyth said. “This is probably the most unstable time since World War II... that also feeds economic uncertainty and is causing people to rethink employment and investment choices until there is stability on the political front.” 

Forsyth said that because of Bonner County’s recent switch to a more tourism driven economy that the region is very tied to what happens nationally. He added he’s beginning to see President Donald Trump’s tariffs and policies having a negative effect on the economy. 

The largest concerns that Forsyth shared was about spending cuts from the “Big Beautiful Bill.” He said he feared that it would slow job growth in the healthcare sector, a major employer in the region, and that it would decrease “transfer payments” such as Social Security, which make up 24% of Bonner County residents’ income. 

“There’s a real risk about the tariff and the uncertainty around what it’ll be that we could see a mild recession,” Forsyth said. “If we do have a recession, [Bonner County] will quickly follow the U.S. into that.” 

While making sense of the fickle economic environment was one of the event’s focuses, the other was to examine local solutions. Baker invited the Regional Economic Development team, a taskforce of six representatives from the five North Idaho counties — Bonner, Boundary, Kootenai, Shoshone and Benewah — to discuss what they are working on in their respective areas. 

All members of the RED team said that their county is suffering from a lack of affordable housing, which has become a significant focus for their organizations. Baker, who represents Bonner County said PEP is building up local businesses to generate more income and better jobs for residents.  

“We can’t do business attractions here in the traditional way because we don’t have housing,” Baker said. “What we have to do is grow and strength our local businesses and encourage startup businesses, for now.” 

Currently, PEP is working with Panhandle Special Needs, Inc. to raise funds for their new campus and helping the Ponderay Aquatic Center develop its plans and funding. Baker added that the organization will be working with the county to upgrade its jail. 

Baker said that the collaboration from the RED team allows for the agencies across North Idaho to work on regional issues, such as affordable housing, together. The team shares suggestions and possible missteps from their own community to make sure the area as a whole remains strong. 

For example, Baker said that PEP got involved with the North Idaho College Workforce Training Center in Sandpoint after seeing similar centers close in both Shoshone and Boundary County.  

“We were able to save our local one,” Baker said. “We helped them figure out how to change the curriculum and helped attract more students to the programs, it’s working now and starting to thrive again.”  

Baker said that he’s seen businesses cut back on “unnecessary” expenditures, which has created a chilling effect on nonprofit funding and new buildings. He said that’s been an emerging challenge for PEP and so he’s turned to Bonner County to ask for funding to continue helping small businesses. 

“We can’t keep hanging on by a thread and keep serving [the community] well,” Baker said. “It needs to be supported; it should be supported.”